Blanchard Kahn condition, rank failure

I have a problem with simulating model. I got “Blanchard-Kahn conditions are not satisfied”’ error. It is an emergency case and I will be very grateful if someone can help me immediately. This is my code.

This gives the error

Error using print_info (line 32)
Blanchard-Kahn conditions are not satisfied: indeterminacy due to rank failure.

I’ve attached the code.EX617.mod (13.8 KB)

Hi fkhodadadi1369,

you have unit roots and singularity problems in your model. Try using model_diagnostics; to see what equations are colinear. Since you have a very large open economy model it is very tricky to quickly debug it. One reason for singularity could be that you have included a redundant equation (maybe a budget constraint) and missed out one important one. As it is open economy it could very well be that there is a unit root included, but you should know about that.
Did you build on someone else’s model? If so, try to reduce the size to a working model.

Best

Please do not double-post. See my reply at

Thank you very much. I appreciate the time and effort that went into your inpu

I’m not very good at DSGE models, If I lagged (delay) the current variables a time, will this error be fixed ??

Do you mean that in all equations, current variables (t) and t+1 variables , I go back one period like the same relation of production that you said ??

If this solution solves the problem, do not reduce the size of the model.

There is one unique timing structure. Please see the manual or the respective forum posts on the correct timing for predetermined state variables.

Excuseme Where can I find the manual or Or how can I find the respective forum posts on the correct timing for predetermined state variables.
Can you Please fix (solve) this error in my model?

See for the slides at Chapter_5_Dynare.pdf - Google Drive

The manual is in the doc folder of your Dynare installation.

thanks a lot